U.S. Treasury bond buyback expansion seen as potential tailwind for BTC

The U.S. Treasury is set to apply its expanded long-term Treasury buyback program from Sept. 9, and whether the actual purchase size exceeds expectations is drawing attention as a possible catalyst for Bitcoin, Forbes reported. The Treasury said in August it would more than double the per-operation cap for long-term Treasury buybacks to at least $4 billion from $2 billion, and BTC has since risen about 20%. The market expects the first purchase to reach $5 billion to $6 billion, while trader Mel Mattison said it could expand to as much as $8 billion. If the buyback size comes in above expectations, it could help curb further increases in long-term Treasury yields and create a more supportive environment for risk assets including BTC.